🏦Hybrid Vault

Description

The KiloEx Vault serves as the counterparty for traders on the decentralised protocol. The preformance from the vault are entirely based on the users' trading activities. As a liquidity provider for the KiloEx Vault, users can simply deposit USDT, USDC, or other mixed assets into the vault and provide liquidity for trades to earn up to 30% of the platform's trading revenue.

Based on the Vault2.0 system, the stability of returns has been significantly improved. However, in reality, there is still a large number of users who wish to pledge their other assets into the vault in some form to participate in the vault's revenue distribution rewards. To meet these needs, KiloEx has now upgraded to support mixed assets. In addition to the trading margin of USDT and USDC stablecoins, various chains will also support other asset types, such as FDUSD, MANTA, STONE, stETH, slisBNB, etc. Compared to Vault2.0, the main upgrades in the current Hybrid Vault are as follows:

Support for Mixed Asset Pledging: The vault has been upgraded from a single trading margin of USDT, USDC to a mixed asset vault.
Varied Mixed Assets Supported by Different Chains: The mixed assets supported will vary according to operational needs.
Loan to Value (LTV) Ratio: The maximum asset value that can be borrowed will be determined by the LTV ratio for the pledged assets. Each asset will have an independent LTV rate, which may be dynamically adjusted.
Health Factor Concept: For mixed assets, the Health Factor = Original Token Value * Liquidation Line / Loss. When HF < 1.0, liquidation will occur. When HF >= 1.2, partial withdrawals are possible. (This parameter value is adjustable by the system)
Deposit and Withdrawal: Similar to Vault2.0, for mixed asset deposits, the algorithm will indicate how much kUSDT will be obtained. When withdrawing mixed assets, it will indicate how much of the mixed asset itself and the corresponding estimated profit or loss in Quote assets (USDT, USDC) will be received.
Epoch System for Withdrawals: Withdrawals follow an epoch system with one epoch every 3 days. Withdrawals require waiting 1-3 epochs based on the CR value. During the waiting period, system returns will be received.
APY Calculation: The overall vault's APY calculation remains unchanged. However, for non-Quote assets, the APY can be understood as the overall APY multiplied by the corresponding LTV discount. (Each account's APY will differ based on the deposit time)
Fixed Term Deposits for Quote Assets: Quote assets like USDT and USDC support locked deposits. Choosing a fixed term deposit enjoys a discount according to the contract, cannot be withdrawn early, must be executed strictly according to the maturity time, and can be withdrawn after unlocking. Non-Quote assets do not currently support fixed-term deposits.
Introducing the concept of hToken (such as hStone), kUSDT (or kUSDC), and VUSD tokens in the Vault contract. hToken serves as a deposit certificate. When a user deposits assets, Hybrid Vault will mint an equivalent amount of hToken for the user; kUSDT represents the vault as a USDT storage vault following the ERC-4626 standard. This standard provides an API for tokenized revenue-generating storage vaults representing shares of individual underlying ERC-20 assets. For this vault, kUSDT shares represent the underlying USDT assets; VUSD is the underlying asset of the Vault, a virtual asset representing collateral assets equivalent to USDT.

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Last updated 1 month ago

Description

Support for Mixed Asset Pledging: The vault has been upgraded from a single trading margin of USDT, USDC to a mixed asset vault.

Varied Mixed Assets Supported by Different Chains: The mixed assets supported will vary according to operational needs.

Loan to Value (LTV) Ratio: The maximum asset value that can be borrowed will be determined by the LTV ratio for the pledged assets. Each asset will have an independent LTV rate, which may be dynamically adjusted.

Health Factor Concept: For mixed assets, the Health Factor = Original Token Value * Liquidation Line / Loss. When HF < 1.0, liquidation will occur. When HF >= 1.2, partial withdrawals are possible. (This parameter value is adjustable by the system)

Deposit and Withdrawal: Similar to Vault2.0, for mixed asset deposits, the algorithm will indicate how much kUSDT will be obtained. When withdrawing mixed assets, it will indicate how much of the mixed asset itself and the corresponding estimated profit or loss in Quote assets (USDT, USDC) will be received.

Epoch System for Withdrawals: Withdrawals follow an epoch system with one epoch every 3 days. Withdrawals require waiting 1-3 epochs based on the CR value. During the waiting period, system returns will be received.

APY Calculation: The overall vault's APY calculation remains unchanged. However, for non-Quote assets, the APY can be understood as the overall APY multiplied by the corresponding LTV discount. (Each account's APY will differ based on the deposit time)

Fixed Term Deposits for Quote Assets: Quote assets like USDT and USDC support locked deposits. Choosing a fixed term deposit enjoys a discount according to the contract, cannot be withdrawn early, must be executed strictly according to the maturity time, and can be withdrawn after unlocking. Non-Quote assets do not currently support fixed-term deposits.

Introducing the concept of hToken (such as hStone), kUSDT (or kUSDC), and VUSD tokens in the Vault contract. hToken serves as a deposit certificate. When a user deposits assets, Hybrid Vault will mint an equivalent amount of hToken for the user; kUSDT represents the vault as a USDT storage vault following the ERC-4626 standard. This standard provides an API for tokenized revenue-generating storage vaults representing shares of individual underlying ERC-20 assets. For this vault, kUSDT shares represent the underlying USDT assets; VUSD is the underlying asset of the Vault, a virtual asset representing collateral assets equivalent to USDT.